Question

Difference between intermediate goods and final goods in tabular form

Answer 1

Final goods:

1.Used for final consumption.

2.Ready for use by final users.

3.Ready for use by final users

4.They are finished goods.

5.Value is calculated for GDP.

Intermediate goods:

1.Not used for final consumption.

2.Not ready for use by final users.

3.Used as raw material for production of final goods.

4.They are unfinished goods.

5.Not calculated, as the value of final goods included the value of intermediate goods.

Answer 2

Intermediate Goods

• These goods remain within the boundary line of production and not ready for use by their final users.
• These goods may be used as raw material for the production of other goods during the accounting year.
• These goods maybe Resold by the forms for Profit during the accounting year.
• Value is yet to be added to these goods.

Final Goods

• These goods are outside the boundary line of production and ready for use by their final users.
• These goods are not used as raw material for the production of other goods during the accounting year.
• These goods are not resold by the firms for profit during the accounting year.
• Value is not to be added to these goods.